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CHAPTER NINE Managing Teams Effective Management 3rd Edition Chuck Williams * Standard Motor Products Edwardsville, Kansas Standard Motor Products makes aftermarket auto parts. The auto parts market is growing, but it is very competitive?and Standard Motor Products is struggling. Downtime is up, productivity is down, and costs are up. The culture is top-down and authoritarian and the workers dislike each other. Would the use of teams resolve the problems? If so, how should teams be paid and managed? What Would You Do? * Why Work Teams? After reading the next two sections, you should be able to: explain the good and bad of using teams recognize and understand the different kinds of teams * * 1 The Good and Bad of Using Teams Advantages of Teams Disadvantages of Teams When to Use and Not Use Teams The Advantages of Teams * 1.1 Customer Satisfaction Product and Service Quality Speed and Efficiency in Product Development Employee Job Satisfaction Decision Making Commitment to decisions More alternate solutions Multiple perspectives The Disadvantages of Teams * 1.2 Initially High Employee Turnover Social Loafing Disadvantages of Group Decision Making Groupthink Inefficient meetings Minority domination Lack of accountability 1.2 * Don?t Be a Team Slacker?Do Your Share Slacking on teams is wrong. Slacking hurts a team?s performance. In the real world, team slacking contributes to lost sales, poorer decisions, lower-quality products, and lower productivity. The Disadvantages of Teams * 1.2 Factors that Encourage People to Withhold Effort in Teams The presence of someone with expertise The presentation of a compelling argument Lacking confidence in one?s ability to contribute An unimportant or meaningless decision A dysfunctional decision-making climate Adapted From Exhibit 9.1 When to Use Teams * 1.3 There is a clear purpose The job can?t be done unless people work together Team-based rewards are possible Ample resources exist Teams have authority USE TEAMS WHEN? DON?T USE TEAMS WHEN? There is no clear purpose The job can be done independently Only individual-based rewards exist Resources are scarce Management controls Adapted From Exhibit 9.2 Kinds of Teams 2 * How Teams Differ in Autonomy Special Kinds of Teams Autonomy, the Key Dimension * Traditional Work Groups Employee Involvement Teams Semi- autonomous Work Groups Self- managing Teams Self- designing Teams Autonomy Adapted From Exhibit 9.3 2.1 Special Kinds of Teams * Adapted From Exhibit 9.3 2.2 Cross-Functional Teams Virtual Teams Project Teams Cross-Functional Teams * Employees from different functional areas Attack problems from multiple perspectives Generate more ideas and alternative solutions Often used in conjunction with matrix and product organizational structures 2.2 Virtual Teams * 2.2 Tips for Managing Successful Virtual Teams Select self-starters and strong communicators Keep the team focused on clear, specific goals Provide frequent feedback Keep team upbeat and action-oriented Periodically bring team members together Improve communications Ask team members for feedback on how well team is working Empower virtual teams Adapted From Exhibit 9.4 Project Teams * 2.2 Created to complete specific, one-time projects within a limited time Often used to develop new products, improve existing products, roll out new information systems, or build new factories/offices Can reduce or eliminate communication barriers, and speed up the design process Promote flexibility Managing Work Teams After reading the next two sections, you should be able to: understand the general characteristics of work teams explain how to enhance work team effectiveness * Work Team Characteristics * 3 Team Size Team Conflict Team Development Team Norms Team Cohesiveness TEAM NORMS 3.1 * Informally agreed-on standards that regulate team behavior Powerful influence on work behavior Regulate the everyday behaviors of teams * 3.2 The extent to which members are attracted to the team and motivated to remain in it Cohesive teams: retain their members promote cooperation have high levels of performance Promoting Team Cohesiveness * Make sure all team members are present at team meetings Create additional opportunities for teammates to work together Engage in nonwork activities as a team Make employees feel that they are part of a ?special? organization 3.2 What Really Works * Cohesion and Team Performance Team Performance 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% probability of success 66% Team Performance with Interdependent Tasks 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% probability of success 73% Team Performance with Independent Tasks 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% probability of success 60% 3.2 Team Size * 3.3 Size Performance Team Conflict 3.4 * C-type Conflict cognitive conflict focuses on problems and issues associated with improvements in team performance A-type Conflict affective conflict emotional, personal disagreements associated with decreases in team performance Both types often occur simultaneously HOW TEAMS CAN HAVE A GOOD FIGHT 3.4 * Work with more, rather than less, information Develop multiple alternatives to enrich debate Establish common goals Inject humor into the workplace Maintain a balance of power Resolve issues without forcing a consensus Adapted from Exhibit 9.5 Biz Flix Apollo 13 CLICK * Stages of Team Development 3.5 * Team Performance Time Forming Storming Norming Performing De-Norming De-Storming De-Forming Adapted from Exhibit 9.6 Enhancing Work Team Effectiveness * 4 Team Training Team Compensation Selecting Team Members Setting Team Goals and Priorities Setting Team Goals and Priorities * 4.1 Team goals enhance team performance Goals clarify team priorities Challenging team goals help team members to regulate effort * 4.1 Teams have a high degree of autonomy Teams are empowered with control resources Teams need for structural accommodation Teams need bureaucratic immunity Selecting People for Teamwork 4.2 * Team Diversity Team Level Individualism- Collectivism Team Training * 4.3 Conflict Interpersonal Skills Decision Making and Problem Solving Technical Training Training for Team Leaders Problems Reported by Team Leaders * 1. Confusion about new roles 2. Feeling they?ve lost control 3. Not knowing what it means to coach or empower 4. Having doubts about whether team concept will work 5. Uncertainty about dealing with employees? doubts 6. Confusion about when team is ready for more responsibility 7. Confusion about how to share responsibility and accountability 8. Concern about promotional opportunities 9. Uncertainty about the strategic aspects of leader?s role as team matures 10. Not knowing where to turn for help with team problems 4.3 Adapted from Exhibit 9.8 Team Compensation and Recognition * The level of reward must match the level of performance Three methods of compensating team participants: skill-based pay gainsharing nonfinancial rewards 4.4 Team Compensation and Recognition * 4.4